Fees & Charges 26.8 Other Corporate 6.7 4.8 £m Democratic ......£m Care & Support 6.2 First...

Newport City Council – 2018/19 Budget

The information contained within this document is correct as at March 2018

Funding of Councils gross budget 2018/19

£m

Welsh Government (RSG) 212.8

Council Tax 61.8

Fees & Charges 26.8

Specific Grants 110.5

Total Funding Available 411.9

29%

24% 16%

4% 2%

25%

18/19 Gross Budget by Directorate

People

Schools

Place

Support Services

Other Corporate

Non Service

£m £m

People 218.7 174.8

Children & Young People 24.9 22.4

Adult & Community Services 70.0 44.5

Education 22.8 14.6

Schools 100.9 93.3

Place 66.6 30.8

Regeneration, Investment & Housing 30.8 10.0

Streetscene & City Services 35.8 20.8

Corporate Services 23.7 17.6

Support Services 17.0 12.8

Directorate 0.6 0.6

Finance 4.0 3.1

People & Business Change 10.0 7.0

Legal Support 2.4 2.1

Other Corporate 6.7 4.8

Law & Regulation (services available to the public) 5.1 3.3

Democratic Services 1.6 1.5

Non Service 102.8 51.3

TOTAL 411.9 274.6

Funding is spent on the following services:2018/19

Gross

2018/19

Net

Corporate & CC Portfolio Highlight Report April 2015.doc

Newport City Council – 2018/19 Budget

Gross budget £412m - How will this be spent:

Employees £159m

Third Party Payments £114m (i)

Supplies & Services £37m (iii)

Transfer Payments £53m (ii)

Premises £24m

Budget £412m

Capital Financing £17m

(i) Third party payments – payments to third party providers of Local Authority Services, e.g. Newport Live leisure trust, out of county residential placements, Gwent coroner, South Wales Fire Authority, joint music service;

(ii) Transfer payments – Housing benefit rents, Council tax rebates (iii) Supplies & Services – direct supplies and service costs to the authority

Transport £8m

PEOPLE DIRECTORATE – 2018/19 Budget

2018/19 Savings to be delivered

MTFP Savings to be delivered 2018/19

£m

Adult & Community Services 1.0

Children & Young People services 1.4

Schools 0.2

Education 0.9

Total 3.5

2018/19 Capital Budget

Capital Budget (as per Feb Council) 2018/19

£m

Adult & Community Services 0.2

Social Services – Adults & Childrens 0.2

Schools 10.0

Education 0

Total 10.4

44.5

22.4

93.3

14.6

15.5

1.8

7.6

2.6

10.0

0.7 5.6

0.0

20.0

40.0

60.0

80.0

100.0

120.0

Adult &Community

Services

Children &Young People

Services

Schools Education

Gro

ss B

ud

get

(£m

)

People Portfolio - Sources of funding

Fees & Charges

Specific Grants

Core Funding

43% 57%

2018/19 Gross Budget as a % of People Directorate

Social Services

Education (Inc Schools)

PEOPLE DIRECTORATE – 2018/19 Budget Adult & Community Services

Net Budget Analysis by Subjective Heading 2018/19

£m

Employees 14.1

Premises 0.2

Transport 0.3

Supplies & Services 4.8

Third Party Payments 50.6

Income

Fees & Charges -10.0*

Grants -15.5

Net Budget 44.5

Net Budget Analysis by Objective Heading 2018/19

£m

Care & Support 6.2

First Contact 1.6

Integrated OT 0.6

Managed Care 28.7

Mental Health 2.4

Other Adult Services 2.5

Safeguarding 0.5

Service Dev & Commissioning 2.0

Net Budget 44.5

FTEs by Service 2018/19

Care & Support 237.7

First Contact 28.5

Fraility 47.5

Integrated OT 10.6

Managed Care 30.1

Mental Health 14.0

Other Adult Services 5.0

Safeguarding 11.3

Service Dev & Commissioning 30.6

Total FTE 415.3

Third Party Payments £51m

Employees £14m

Gross Budget £70m

Supplies & Services £5m

* Fees & charges include any internal recharges and SLAs

PEOPLE DIRECTORATE

2018/19 Budgets by Activity Code – Adult & Community Services

Row Labels 2018/19 Net budget

Safeguarding 461,138

SOC14 Service Dev & Comm 11,906

SOC18 Adult Safeguard Tot 449,232

Care + Support 6,219,405

SOC1 HomeCare&ExtraCare 1,741,720

SOC2 Older Ppl Res Units 2,559,568

SOC4 Day Opportunities 1,227,887

SOC3 Supp Living Agency 690,230

SOC13 Adults Mgt Acct 0

First Contact 1,605,378

SOC5 First Contact 425,798

SOC14 Service Dev & Comm 0

SOC10 Community Care Packs 888,000

SOC15 Supporting Ppl Gen 183,443

SOC16 Adult Serv Cont Sup 26,166

SOC17 Telecare Contract 81,971

SOC6 SMAPF 0

Frailty 53,562

SOC12 Frailty Pooled Budg 53,562


Service Dev+Commissioning 1,951,000

SOC14 Service Dev & Comm 878,689

SOC16 Adult Serv Cont Sup 1,072,311

Integrated OT 623,078

SOC7 Integrated OT Total 623,078

Managed Care 28,743,871

SOC4 Day Opportunities 9,046

SOC8 Centrica Lodge Resp 222,096

SOC10 Community Care Packs 26,613,081

SOC11 Mental Health Total 296

SOC9 Community Care Teams 1,899,352

Mental Health 2,377,114

SOC11 Mental Health Total 2,377,114

Other Adult Services 2,494,072

SOC12 Frailty Pooled Budg 1,920,424

SOC7 Integrated OT Total -133,000

SOC13 Adults Mgt Acct 706,648

Grand Total 44,528,618

PEOPLE DIRECTORATE – 2018/19 Budget Children & Young People Services


£m

Employees 12.0

Premises 0.1

Transport 0.2



Income

Fees & Charges * -0.7

Grants -1.8

Net Budget 22.4


£m

Children 3.6

Integrated Family Support Services 1.3

Operations 3.3

Resources 12.9

Safeguarding 0.6

Youth Offending Services 0.7

Net Budget 22.4


Children 49.3

Integrated Family Support Services 58.8

Operations 59.5

Resources 108.1

Safeguarding 19.8

Youth Offending Services 18.8

Total FTE 314.3

Gross Budget £25m

Employees £12m



* Partner contributions from external bodies and internal recharges

PEOPLE DIRECTORATE

2018/19 Budgets by Activity Code – Children & Young People


Children 3,516,538

SOC19 Pathway Team 1,390,039

SOC20 Leaving Care 791,331

SOC21 Sthwrk 16+ Homeless 25,991

SOC22 LAC Family Contact 98,184

SOC23 Child Safegrd & Miss 138,689

SOC24 Child & Fam Mgt Acct 310,807

SOC28 Child Protection 761,497

IFSS 1,477,507

SOC26 Integ Fam Supp Serv 1,477,507

Operations 3,280,289

SOC19 Pathway Team 985,927

SOC27 SE Wales Adoption 502,171

SOC28 Child Protection 1,772,628

SOC5 First Contact 19,563

Resources 12,860,725

SOC20 Leaving Care 20,000

SOC28 Child Protection 984,515

SOC30 NCC Child Res 2,059,138

SOC31 Out of Auth Res Plac 2,719,093

SOC32 Ind Foster Ag Plac 1,293,882

SOC33 In-House Fostering 4,083,978


SOC34 Kinship Payments 1,096,163

SOC35 Education Supp Team 117,628

SOC36 Drct Pay Child Serv 161,152

SOC37 S17 Child Dis Aid 29,576

SOC38 Adoption Allowances 295,600

Safeguarding 590,274

SOC26 Integ Fam Supp Serv 12,424

SOC39 Child Safeguard 577,850

Youth Offending Services 674,545

SOC26 Integ Fam Supp Serv -79,909

SOC40 Youth Offending Serv 754,454


PEOPLE DIRECTORATE – 2018/19 Budget Education


£m

Employees 7.0

Premises 0.3

Transport 4.3



Income


Grants -2.6

Net Budget 14.6


£m

Improvement & Inclusion 6.0

Resource & Planning 8.6

Net Budget 14.6


Improvement & Inclusion: 134.2

Central Education (60.1)

Pan Gwent Services (Gwent Music & Gwent Ethnic Minority Support Service)

(74.1)

Resource & Planning 24.6

Total FTE 158.8

Gross Budget £23m

Premises £0.3m

Transport £4m


Employees £7m Supplies & Services £5m


PEOPLE DIRECTORATE – 2018/19 Budget Schools


£m

Employees 85.2

Premises 8.3

Transport 0.6



Income

Grants -7.6

Net Budget 93.3


£m

Nursery 0.5

Primary 48.8

Secondary 39.3

Special 4.7

Net Budget 93.3*


Nursery 13.9

Primary 1,298.4

Secondary 930.2

Special 100.5

Total FTE 2,343.0*

Gross Budget £101m

Employees £85m


Premises £8m


* Indicative Individual School Budgets (ISB) and FTEs as at March 2018

PEOPLE DIRECTORATE

2018/19 Budgets by Activity Code – Education (Inc Schools)

Row Labels 2018/19 Net Budget

Schools 93,262,000

EDU1 Schools 93,262,000


Row Labels Sum of 2018/2019 Estimate (Final)

02 Improvement+Inclusion

EDU10 Education Welf Serv 344,050

EDU11 Bridge Achieve Cent 1,001,661

EDU12 EIG-Educ Improv Grnt 470,675

EDU13 GEMS -15,876

EDU18 Service Dev & Bus 1,411

EDU2 School Based Counsel 206,000

EDU23 Joint Services 0

EDU3 Autistic Spect Dis 0

EDU4 Psychology Services 356,656

EDU5 SEN Team 295,638

EDU6 SEN Recoup OOC 3,149,163

EDU7 SEN Equip & Resource 94,967

EDU8 SEN Local Provision 155,959

EDU9 Inclusion Mgt Acct 168,420

Row Labels Sum of 2018/2019 Estimate (Final)

03 Resourcing+Planning

EDU1 Schools 44,075

EDU14 Breakfast Clubs 324,413

EDU15 School Meals RepMain 281,773

EDU16 Edu Mgt - Mgt Team 200,068

EDU17 Edu Mgt - Non Team -393,516

EDU18 Service Dev & Bus 224,604

EDU19 Schools Admiss&Appl 267,041

EDU20 21CS Programme 84,172

EDU21 Early Years & Integ 1,057,014

EDU22 Redund & Superann 1,013,002

EDU23 Joint Services 1,447,096

EDU24 Transport 3,782,204


PLACE DIRECTORATE – 2018/19 Budget



£m

Regeneration, Investment & Housing 0.6

Streetscene & City Services 0.6

2018/19 Total 1.2

Prior year savings yet to be delivered


2018/19 and prior year total 1.4



£m

Regeneration, Investment & Housing 20.2


Total 25.4

10.0

20.8

12.2

7.6 8.6

7.4

0.0

5.0

10.0

15.0

20.0

25.0

30.0

35.0

40.0

Regeneration, Investment &Housing

Streetscene & City Services

Gro

ss B

ud

get

(£m

)

Place Portfolio - Sources of funding

Fees & Charges

Specific Grants

Core Funding46%

54%

2018/19 Gross budget as a % of Place Directorate

Regeneration, Investment& Housing

Streetscene & CityServices


Gross Budget £31m

Employees £12m

Premises £10m


Regeneration, Investment & Housing


£m

Employees 12.1

Premises 9.7

Transport 0.2



Capital Financing 0.2

Fees & Charges -8.6

Grants -12.2

Net Budget 10.0


£m

Community Regeneration 0.7

Culture & Heritage 2.2

Development Services 1.0

Integrated Property Unit * 4.1

Regeneration, Housing & Property 2.0

Net Budget 10.0


Community Regeneration 269.6

Culture & Heritage 49.4

Development Services 48.2

Integrated Property Unit 2.0

Regeneration, Housing & Property 37.7

Total FTE 406.9

* IPU - commissioned property services. Budget funds maintenance, planned works and energy

Third Party Payments £3m * Fees & charges include any internal recharges and SLAs

PLACE DIRECTORATE

2018/19 Budgets by Activity Code – Regeneration, Investment & Housing

Service Area 2018/19 Net Budget

Regen Investment + Housing 10,027,860.21

Community Regeneration 662,564.13

RIH19 Community Centres 202,511.32

RIH20 Com Dev Core 198,765.39

RIH21 Youth Core 276,160.00

RIH22 City Playschemes 90,951.00

RIH23 Adult Education 100,045.00-

RIH31 CD Communities First 1,058.16

RIH32 Work & Skills Employ 312.00-

RIH33 Work & Skills Europe -

RIH34 Families First 0.00-

RIH35 Flying Start 585.46

RIH36 Monwel 7,115.20-

RIH37 Youth 5.00

Culture + Heritage 2,246,617.81

RIH23 Adult Education -

RIH24 Libraries 1,065,795.07

RIH25 Museum Art & Gallery 396,875.82

RIH26 Medieval Ship 73,450.28

RIH27 Partnerships 174,440.00

RIH28 Tredegar House Grnds 398,821.00

RIH29 14 Locks 20,752.00

RIH30 Transporter Bridge 116,483.64

Service Area 2018/19 Net Budget

Development Services 1,041,974.06

RIH11 Building Control 23,989.00

RIH12 Plan & Dev Mgt Ac 113,951.00

RIH13 R+R Pooled Admin 43,611.00

RIH14 Urban Regeneration 259,896.50

RIH16 Development Mgt 314,151.00

RIH17 Planning Pol & Imp 214,771.56

RIH18 Local Dev Plan 71,604.00

Housing 1,937,724.97

RIH1 Homelessness 871,465.50

RIH2 Strategy & Dev 250,477.00

RIH3 Housing Needs 708,563.00

RIH3 Housing Needs -

RIH4 Private Sector Hous 93,219.47

Integrated Property Unit 4,138,979.24

RIH10 Carbon Reduction 327,581.83

RIH5 Com & Ind Portf 975,897.76-

RIH6 Provision Market 132,853.06-

RIH7 Civic Centre Fac Mgt 658,569.92

RIH8 Station Buildings 365,436.83

RIH9 Centralised Prop 3,896,141.48

Grand Total 10,027,860.21


Employees £13m


Premises £5m

Streetscene & City Services


£m

Employees 12.8

Premises 5.2

Transport 2.6



Income


Grants -7.6

Net Budget 20.8


£m

Customer Services 1.6

Environmental Services 0.3

Operations 6.8

Strategic Management 2.8

Strategy 4.0

Waste & Recycling 5.3

Net Budget 20.8


Customer Services 85.2

Environmental Services 77.0

Operations 103.2

Strategic Management 6.0

Strategy 7.0

Waste & Recycling 132.0

Total FTE 410.4

Gross Budget £36m


Transport £3m * Fees & charges include any internal recharges and SLAs

PLACE DIRECTORATE

2018/19 Budgets by Activity Code – Streetscene & City Services


Customer Services 1,606,297

STR26 Customer Services 1,491,081

STR27 Benefits 115,217

Environmental Services 258,146

STR1 Env Serv 751,738

STR2 Cemeteries 493,592-

Income Collection -

STR27 Benefits -

Operations 6,782,600

STR15 Drainage Operations 661,893

STR16 Fleet Mgt 2,138,955

STR17 Grounds Maint 926,720

STR18 Routine Maint 1,600,945

STR19 SDR South Distr Road 115,364-

STR20 Off Street Park 277,804-

STR21 Street Cleans 1,509,731

STR23 Depot Salaries 159,754

STR24 Winter Maint 128,139

STR25 Public Features 51,876

STR4 Asset Mgt 2,245-


Strategic Management 2,843,271

STR6 Staffing 26,999-

STR9 Leisure Trust 2,870,270

Strategy 3,987,349

STR3 Public Transport 1,104,295

STR4 Asset Mgt 583,804

STR5 Street Lighting 2,365,485

STR6 Staffing 2,588

STR7 Traffic Mgt & Street 281,062-

STR8 Road Safety 212,238

Waste + Recycling 5,328,337

STR10 Waste Disposal Site 286,704-

STR11 Sustainable Waste 2,713,572

STR12 Refuse Collection 2,540,295

STR13 Civic Amenity Site 361,174


CORPORATE SERVICES DIRECTORATE – 2018/19 Budget



£m

Directorate 0

Finance 0.1

People & Business Change 0.3*

Law & Regulation 0.2

Total 0.6



£m

Directorate 0

Finance 0

People & Business Change 0

Law & Regulation 0

Total 0

0.6

3.1

7.0

3.2 2.1 1.6

0.4

0.7

0.4 0.6

2.4

1.4

0.3

0.0

2.0

4.0

6.0

8.0

10.0

12.0

Directorate Finance People &BusinessChange

Regulation Legalsupport

DemocraticServices

Gro

ss B

ud

get

(£m

)

Corporate Portfolio - Sources of funding

Fees & Charges

Specific Grants

Core Funding

3%

17%

42%

21%

10%

7%

2018/19 Gross budget as a % of Corporate Directorate

Directorate

Finance

People & Business Change

Regulation

Legal support

Democratic Services

PBC have £0.2m of council wide savings which are yet to be assigned to service areas

CORPORATE SERVICES DIRECTORATE – 2018/19 Budget Directorate


£m

Chief Executive & Directorate 0.6

Net Budget 0.6

Gross Budget £0.6m

Employees £0.6m


£m

Employees 0.6

Transport 0.0


Net Budget 0.6


Chief Executive/ PA 2.0

Strategic Directors/ PA 4.0

Total FTE 6.0

CORPORATE SERVICES DIRECTORATE – 2018/19 Budget Finance


£m

Accountancy 2.1

Income Collection 0.1

Internal Audit 0.4

Procurement & Payments 0.5

Net Budget 3.1

Gross Budget £4m

Employees £3m



£m

Employees 3.4


Income


Grants -0.4

Net Budget 3.1


Accountancy 46.3

Income Collection 30.1

Internal Audit 8.0

Procurement & Payments 13.7

Total FTE 98.1


CORPORATE SERVICES DIRECTORATE – 2018/19 Budget People & Business Change


£m

Business Development 0.4

Human Resources 1.4

Information Governance 0.7

IT Systems 3.2

Partnership & Policy 1.0

Super Connected Cities 0.3

Net Budget 7.0

Gross Budget £10m Net Budget Analysis by Subjective Heading 2018/19

£m

Employees 4.2



Income


Grants -0.7

Net Budget 7.0


Business Development 9.0

Human Resources 59.9

Information Governance 22.0

Partnership & Policy 12.9

Super Connected Cities 1.0

Total FTE 104.8

Employees £4m



PBC have £0.2m of council wide savings which are yet to be assigned to service areas


CORPORATE SERVICES DIRECTORATE – 2018/19 Budget Law & Regeneration (Includes Democratic Services and legal support)


£m

Comms & Marketing 0.6

Democratic Services 1.6

Electoral Registration 0.2

Legal 2.1

Public Protection 2.3

Registrars 0.1

Net Budget 6.9

Gross Budget £9m

Employees £6m



£m

Employees 6.4

Premises 0.1


Income

Fees & charges -1.7*

Grants -0.4

Net Budget 6.9


Comms & Marketing 13.0

Democratic Services 10.0

Electoral Registration 4.0

Legal 36.2

Public Protection 90.9

Registrars 12.1

Total FTE 166.2

Premises £0.1m


CORPORATE SERVICES DIRECTORATE

2018/19 Budgets by Activity Code –

Finance People & Business Change 2018/19 Net Budget

Finance 3,083,948 FIN1 Accountancy 2,059,664 FIN2 - Internal Audit 346,630 FIN3 Purchase to Pay -897 FIN3 Purchase to Pay (+£78k) 126,153 FIN4 Strategic Procurement 100,133 FIN4 Strategic Procurement (-£78k) 236,216 FIN5 Council Tax & NNDR 57,861 FIN6 Debtors 158,188

2018/19 Net Budget Law + Regulation 6,905,830

LAW1 Comms & Market 595,330 LAW10 Enviromental health 987,046 LAW11 Trading Standards 723,501 LAW12 Licensing -131,184 LAW2 Registrars 123,098 LAW3 Demographic Serv 519,396 LAW4 Members Allowances 1,049,942 LAW5 Electoral Reg 228,241 LAW6 Legal 1,298,701 LAW7 Land Charges -116,543 LAW8 Insurance 880,761 LAW9 Com Safety 743,731 LAW9 3,809

Law & Regulation

2018/19 Net Budget

People + Business Change 6,990,244

PBC 11 Info Gov & Dev 162,262

PBC1 HR Strategy & Op 478,265

PBC10 Digital 244,794

PBC12 Shared Res Serv 3,202,073

PBC13 Document Services 257,277

PBC14 Spatial Data Unit / PBC15 Gazetteer & Address / PBC16 Edu Info Sup Dev286,327

PBC2 HR Emp Serv 502,319

PBC3 Business Chg Improv 64,891

PBC3 Business Chg Improv (£292k) / PBC4 Performance Mgt Plan (£69k)360,338

PBC5 Com Cohesion 7,385

PBC6 Partnership 518,135

PBC7 Partnership & Policy 384,051

PBC8 Health and Safety 177,855

PBC9 Social Services 232,965

STR6 Staffing 111,306

NON SERVICE – 2018/19 Gross Budget


£m

Employees * 1.6



Transfer Payments 65.3

Capital Financing 16.6

Income

Grants (Housing Benefits) -53.3

Net Budget 51.3

Gross Budget £104m

Transfer Payments £65m


Capital Financing £17m


Employees £2m


£m

Capital financing costs 7.5

Levies & Joint Comm contributions 8.3

Interest payable 9.1

Council Tax Reduction Scheme (CTRS) 12.6

PFI Grants 8.5

Other 5.3

Net Budget 51.3

* £1.6m employee budgets relate to historic pension deficit contribution

Non Service MTFP savings total £3.5m

19%

21% 60%

Controllable/Non-Controllable Expenditure

Controllable

Non-Controllable

Restricted

Projected Earmarked Reserves (1)

Reserve

Balance at

31-Mar-18

Balance at

31-Mar-19

Balance at

31-Mar-20

Balance at

31-Mar-21

£'000 £'000 £'000 £'000

Council Fund: (6,500) (6,500) (6,500) (6,500)

Balances held by schools for future use (1,831) (1,831) (1,831) (1,831)

Earmarked Reserves:

Pay Reserve (1,651) (1,651) (1,651) (1,651)

Music Service (127) (127) (127) (127)

Insurance Reserve (1,706) (1,706) (1,706) (1,706)

MMI Insurance Reserve (302) - - -

Health & Safety (16) (16) (16) (16)

Education Achievement Service (92) - - -

Schools Redundancies - - - -

Friars Walk (6,235) (5,735) (5,235) (4,735)

European Funding I2A & CFW (199) (199) (199) (199)

Metro Bus - - - -

SUB TOTAL - RISK RESERVES (10,328) (9,434) (8,934) (8,434)

Invest to Save (excludes any school based redundancies) (9,908) (7,980) (7,744) (7,594)

Super Connected Cities (543) (423) (303) (183)

Landfill (f ines reserve) (345) (150) - -

Christmas Lights - - - -

Capital Expenditure (3,513) (2,013) (513) -

Usable Capital Receipts (4,086) (1,420) (920) (420)

NEW - MTFP reserve (2,400) 1,200 900 300

SUB TOTAL - ENABLING RESERVES (20,794) (10,785) (8,579) (7,896)

STEP School Computers (373) (273) (173) (73)

Municipal Elections (27) (57) (87) (117)

Local Development Plan (581) (480) (307) (207)


The reserve balances are estimated as at March 2018. It is highly likely that the balances of some reserves, specifically I2S, will be drawn down at a quicker rate than estimated above.

Reserve

Balance at

31-Mar-18

Balance at

31-Mar-19

Balance at

31-Mar-20

Balance at

31-Mar-21

£'000 £'000 £'000 £'000

Glan Usk PFI (1,499) (1,489) (1,469) (1,439)

Southern Distributor Road PFI (44,303) (43,963) (43,485) (42,935)

SUB TOTAL - SMOOTHING RESERVES (46,784) (46,263) (45,522) (44,772)

Works of art (21) (21) (21) (21)

School Works (357) (357) (357) (357)

Theatre & Arts Centre (232) (232) (232) (232)

Cymorth Income - - - -

Pupil Referral Unit (60) - - -

Gypsy and Traveller Site (7) (7) (7) (7)

Homelessness Prevention (38) - - -

Environmental Health - Improve Air Quality - - - -

Refurbishment of a Children / Older People Homes (18) - - -

Apprenticeship Scheme (74) (31) (31) (31)

City Economic Development (45) - - -

Welsh Language Standards (180) (120) (60) -

YS Dilapidation Costs Information Shop (41) - - -

School Reserve Other (457) - - -

Port Health (6) (6) (6) (6)

CRM - - - -

WCCIS - - - -

Investment Reserve (996) - - -

2018 Events (100) - - -

SUB TOTAL - OTHER RESERVES (2,631) (774) (714) (654)

RESERVES TOTAL (88,868) (75,586) (72,079) (70,086)


Key Messages - Based on the 2018/19 estimates; Of the £89m total reserves; • £46m (52%) relates to PFI. This represents the future capital financing budget to pay

the contractual costs of the PFI; • £10m (11%) covers financial risks which the authority is exposed to, including those

which are required under prudent accounting regulations, such as insurance reserve;

• £8m (9%) represents the minimum level of general fund reserves and school reserves;

• £4m (5%) usable capital receipts which can only be used for capital expenditure and committed to funding Band B Education projects currently;

• £3m (3%) of reserves have been committed to balancing the general budget and to

fund approved priorities agreed by Cabinet in June 2017; £71m (80%) of the councils reserves which are mainly committed and/ or reserved for specific uses • The balance of £18m (20%) is more general in nature and represented mainly by invest

to save, pay reserve and capital projects funding.

Newport City Council – RSG and Council Tax since 2014/15

Revenue Support Grant and Council Tax Levels 2014-15 2015-16 2016-17 2017-18 2018-19 2019-20 2020-21 2021-22

Newport Revenue Support Grant 214.83 209.25 209.14 208.25 212.79 210.66 208.56 206.47

Council Tax 49.10 52.12 54.80 58.40 61.81 63.05 64.31 65.59

Council Tax (as a % of net budget) 19% 20% 21% 22% 23% - - -

Actual (£m) Planning Assumptions (£m)

Planning Assumptions (yet to be approved) • RSG reduces by 1% each year from 2019/20 • Council Tax to increase by 4% each year from 2019/20

Each year, Welsh Government transfer specific grants into RSG. These do not represent additional monies to the council as they continue to fund what the previous grant was funding. The unadjusted RSG excludes these transfers and is a true reflection of the resource available from which to deliver existing services. The graphs above (left to right) represent: a) The annual impact of transfers into RSG – the most significant transfers taking place in 2016/17 and 2018/19; b) The cumulative impact of these transfers over the same period.

Whilst the council has received £213m RSG in 2018/19, graph b) highlights the real (cumulative) impact of the transfers with over £6m of grants being transferred into RSG since 2015/16. The unadjusted RSG, however, is £3m less than it was in 2015/16 (£209m reducing to £206m) and this represents the financial challenge that the council faces .

Newport City Council – RSG Settlements since 2015/16

Newport City Council – MTFP Overview by Service Area

Inflation

Pressures (exc

transfers into

RSG)

Savings

Net growth/

(saving) before

transfers

Net growth/

(saving) after

transfers

£'000 £'000 £'000 £'000 £'000

Adult & Community Services £2,408 £3,237 -£4,568 £1,077 £3,573

Children & Young People £747 £2,860 -£2,748 £859 £1,333

Education £817 £750 -£1,001 £566 £516

Schools £0 £4,281 -£575 £3,706 £3,706

People Services £3,972 £11,128 -£8,892 £6,208 £9,128

Streetscene & City Services £1,716 £1,586 -£3,232 £70 £1,579

Regeneration, Investment & Housing £525 £1,089 -£2,001 -£387 £255

Place Services £2,241 £2,675 -£5,233 -£317 £1,834

Finance £227 £0 -£554 -£327 -£327

Law & Regulation £383 £0 -£729 -£346 -£346

People & Business Change £285 £619 -£1,042 -£138 -£138

Directorate £22 £0 £0 £22 £22

Corporate Services £917 £619 -£2,325 -£789 -£789

Service area pressures dealt with under non service £188 £9,504 £0 £9,692 £9,692

Service Area Total £7,318 £23,926 -£16,450 £14,794 £19,865

Capital Financing & Interest £0 £0 -£5,526 -£5,526 -£5,526

Council Tax Reduction Scheme £0 £2,015 -£700 £1,315 £1,315

Revenue contribution to Invest to Save £0 £0 -£950 -£950 -£950

Other Non Service £242 £813 -£2,866 -£1,811 -£280

Non Service £242 £2,828 -£10,042 -£6,972 -£5,441

Total £7,560 £26,754 -£26,492 £7,822 £14,424

Service Area

MTFP Overview - 2016/17 to 2018/19

Notes to MTFP Overview: • The majority of this increase has been invested in adults and children’s social care and

schools; (i) Adult & Community Services £3.6m (ii) Children & Young People £1.3m (iii) Schools £3.7m £8.6m

• Place services (Streetscene & City Services and Regeneration, Investment & Housing) has

more or less remained consistent over the period (excluding transfers) whilst Corporate Services have seen a net decrease in budget since 2015/16.

• The increased budget over this period has been funded mainly (two thirds) by council tax

increases offsetting a decrease in RSG (excluding transfers); • The council tax increase has come from an increase in council tax base as well as an increase

in the rate itself (see RSG and council tax levels table - ‘Newport City Council – RSG and Council Tax since 2014/15’).

Newport City Council – MTFP Overview by Service Area (2)

Key Messages: • The Councils overall budget has increased by £14.4m since 2015/16; • £9.5m service area pressures dealt with under non service represent general pay issues

including equal pay review, national insurance and pension uplifts. The exception is £2.2m set aside for social care and special education needs pressures which will be allocated in 2018/19;

• The capital financing budget has reduced following a review of the councils MRP policy and

debt refinancing;

• The investment in the Council Tax Reduction Scheme (CTRS) budget is required as it is linked to council tax increases following the transfer of this specific grant from Welsh Government in 2015/16.

• The £14.4m increase has been funded by: Decrease in RSG (excluding transfers) £3.1m Specific grants transferred into RSG (£6.6m) Increase in RSG (including transfers) £3.5m Increase in Council tax £9.7m Use of Reserves £1.2m TOTAL FUNDING £14.4m

Newport City Council – MTFP Overview by Service Area (3)

Local Authority Comparisons

Band D Council Tax by Billing Authority 2012/13 – 2018/19

Council Tax Base2013-14 2014-15 2015-16 2016-17 2017-18 2018-19

Newport Council Tax Base 53,531.64 54,965.79 55,560.04 56,145.64 57,619.96 58,465.51

Annual increase (%) - 2.68% 1.08% 1.05% 2.63% 1.47%

Band D by billing authority2012-13 2013-14 2014-15 2015-16 2016-17 2017-18 2018-19

2017/18 Rank

(Lowest to

Highest)

% Increase

since 2015-16

Total Unitary Authorities Pembrokeshire 719.93 741.17 766.55 801.04 841.10 883.15 993.54 1 24%

Newport 825.98 854.88 893.36 938.03 974.61 1008.72 1057.14 2 13%

Caerphilly 897.84 918.94 954.78 992.02 1001.94 1011.96 1057.70 3 7%

Wrexham 914.08 939.22 967.40 996.42 1025.32 1051.98 1093.01 4 10%

Isle of Anglesey 894.42 939.15 981.41 1025.57 1061.46 1088.01 1140.21 5 11%

Cardiff 936.56 936.56 973.77 1022.46 1060.28 1099.52 1154.50 6 13%

Conwy 884.61 918.93 964.89 1013.11 1063.76 1112.69 1168.32 7 15%

Flintshire 932.39 959.43 988.21 1025.27 1071.41 1103.55 1177.60 8 15%

Vale of Glamorgan 940.05 985.14 1029.42 1069.56 1111.23 1142.37 1186.92 9 11%

Powys 936.36 962.11 1005.40 1045.62 1090.06 1132.57 1189.20 10 14%

Carmarthenshire 951.13 979.70 1026.48 1076.22 1117.67 1145.61 1196.60 11 11%

Ceredigion 942.41 970.68 1019.21 1070.17 1123.68 1168.63 1226.48 12 15%

Torfaen 975.21 1007.88 1047.69 1097.49 1140.84 1183.05 1241.61 13 13%

Monmouthshire 1003.69 1003.69 1043.34 1094.98 1138.23 1183.19 1241.76 14 13%

Denbighshire 1052.98 1074.09 1111.70 1142.22 1159.35 1191.26 1247.84 15 9%

Swansea 990.91 1028.56 1079.98 1131.82 1175.90 1208.25 1268.64 16 12%

Gwynedd 1033.20 1069.36 1111.07 1161.07 1207.16 1240.96 1300.53 17 12%

Bridgend 1096.95 1135.36 1191.87 1249.07 1297.78 1335.42 1395.51 18 12%

Rhondda Cynon Taf 1148.82 1194.26 1248.00 1295.48 1331.17 1361.18 1406.16 19 9%

Neath Port Talbot 1209.26 1256.07 1312.60 1368.40 1408.09 1443.30 1496.71 20 9%

Merthyr Tydfil 1206.67 1245.28 1294.47 1352.72 1400.07 1440.68 1500.47 21 11%

Blaenau Gwent 1252.74 1310.37 1370.65 1406.29 1456.92 1507.33 1570.64 22 12%

Average Band D

£1241.41

County Council excluding community councils and police precept Source: Stats Wales

2018/19 Council Tax Band D Comparisons

Standard Spending Assessment by Authority 2017/18 – 2018/19

Standard Spending Assessment (SSA) by authority (£m)2017-18 2018-19

2018-19 net

budget

Variance

above/ (below)

SSA

2017-18 Rank

(Highest to

lowest)

Total Unitary Authorities Rhondda Cynon Taf 442.52 455.02 471.60 16.58 1.00

Neath Port Talbot 262.58 269.37 284.85 15.48 2.00

Bridgend 248.59 255.26 265.98 10.72 3.00

Monmouthshire 143.88 147.47 157.81 10.34 4.00

Gwynedd 226.41 234.69 242.86 8.17 5.00

Swansea 414.59 426.54 434.62 8.08 6.00

Blaenau Gwent 133.10 134.63 142.42 7.79 7.00

Merthyr Tydfil 109.68 112.37 117.46 5.09 8.00

Denbighshire 185.62 189.98 194.42 4.44 9.00

Torfaen 166.92 171.02 173.00 1.98 10.00

Ceredigion 134.23 138.27 140.24 1.97 11.00

Powys 239.31 246.91 247.22 0.31 12.00

Carmarthenshire 335.32 346.06 345.50 -0.56 13.00

Isle of Anglesey 127.45 131.70 130.95 -0.75 14.00

The Vale Of Glamorgan 216.81 222.84 222.05 -0.79 15.00

Cardiff 592.63 611.41 608.91 -2.50 16.00

Conwy 207.92 213.02 208.48 -4.54 17.00

Flintshire 257.53 264.33 259.28 -5.05 18.00

Wrexham 230.51 238.04 232.87 -5.17 19.00

Newport 274.65 281.98 274.60 -7.38 20.00

Caerphilly 333.30 339.57 332.04 -7.53 21.00

Pembrokeshire 219.61 226.40 215.54 -10.86 22.00

Standard Spending Assessment by Authority 2018/19

What Changes would be required in Newport to achieve Wales average Band D and SSA?

(i) Welsh Government standard Band D – figure that Welsh Government use in calculation of SSA distribution of grant - £1,166.72. Any council tax level over and above this would lead to a council spending over their SSA.

Budget Requirement - Band D and SSA

Newport

2018/19

Band D

(£)

Wales

Average

(£)

% UpliftSSA

(£m)

Increase in

Band D

(£)

Uplifted Band D

(£)

% uplift required to achieve 18/19:

(i) Wales Average 1057.14 1241.31 17%

(ii) Newport SSA 281.98

NCC net budget 274.60

Shortfall 7.38

Increase in Bank D required to achieve shortfall

(18/19 tax base)126.23

CT Band D required 1183.37

Band D Increase (%) 12%

Local Authority Comparisons

Key Messages: • Newport would need to increase council tax by 12% in order to achieve their standard spending

assessment (SSA) and by 17% to achieve the Welsh average band D level of council tax;

• If council tax was increased by 12%, this would result in additional income of c£7.3m; • There are currently 7 councils in Wales that are spending significantly under their SSA. This

means that until band D council tax is at least £1,166.72 (Welsh Government standard band D) these councils will be under SSA.

Glossary of terms

RSG Revenue Settlement Grant Gross Budget Total resource available in any given time period Net Budget Resource available in any given time period net of income – i.e. cost to the Council. The difference between gross and net is the income that is available to the Council through fees & charges and specific grants. MTFP Medium Term Financial Plan FTE Full time equivalent (staff numbers) SSA Standard Spending Assessments are notional calculations of what each Council needs to spend to provide a standard level of service PFI Private Finance Initiative is a way of creating “public-private partnerships” (PPPs) by funding infrastructure projects with private capital Tax Base Number of Band D equivalent dwellings in any given year

MRP Minimum revenue provision is the means by which capital expenditure is financed by borrowing or credit arrangements. Local Authorities are required each year to set aside some of their revenues as provision for this debt

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